President Bola Ahmed Tinubu would sign four transformative tax bills into law today, aiming to overhaul Nigeria’s tax and revenue system. These include the Nigeria Tax Bill, Nigeria Tax Administration Bill, Nigeria Revenue Service (Establishment) Bill, and Joint Revenue Board (Establishment) Bill.
Nigeria Tax Bill: Harmonises fragmented tax laws, reduces duplication, simplifies compliance, and encourages investment and growth.
Nigeria Tax Administration Bill: Establishes a uniform tax framework across all government levels for greater efficiency.
Nigeria Revenue Service (Establishment) Bill: Replaces FIRS with NRS, expands mandate to non-tax revenue, and focuses on autonomy, transparency, and performance.
Joint Revenue Board (Establishment) Bill: Promotes collaboration between federal, state, and local revenue bodies, sets up a Tax Appeal Tribunal, and introduces the Office of the Tax Ombudsman for taxpayer rights.
While the Presidency hails this as a bold economic step, concerns persist. Implementation challenges, including bureaucratic inefficiencies and corruption, may undermine the promised transparency. The NRS’s expanded mandate raises fears of additional burdens on small businesses and low-income earners, potentially exacerbating inequalities.
The Tax Ombudsman and Appeal Tribunal offer hope for taxpayer protection and dispute resolution, potentially attracting foreign investment. However, without robust oversight and public trust, these reforms could falter, adding to a history of unfulfilled economic promises.
The success of these bills depends on effective execution and inclusive benefits. The next few months will reveal whether this marks a true turning point or another reform narrative without substance.
